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RCC: Building CSR Momentum
A Changing Planet: Corporate Social Responsibility
| Retail is the face of Canadian business. More than any other industry, it must satisfy the demands of consumers by innovating responsible business practices and encouraging suppliers and manufacturers to contribute to the mission of sustainability.
Corporate Social Responsibility (CSR) is fast becoming an important ingredient of success in today's retail world. Currently, CSR can be an opportunity for brands to differentiate themselves and gain a competitive advantage, but in the near future, more consumers will expect and even demand brands and retail establishments to fulfill their environmental and social duties on a regular basis. Widespread awareness and support of socially responsible processes have opened the way for a new type of consumer who looks at and assesses the social responsibility of manufacturing processes and retailing practices. A January 2007 Leger Marketing survey found that 81% of Ontarians would switch brands if the manufacturer cared about the environment and that 83% would like to do more overall to help the environment. This new consciousness puts additional demands on retailers and offers new opportunities for customer engagement, employee satisfaction and environmental sustainability. At the first Retail CSR conference in October 2006, RCC, in conjunction with Canadian Business for Social Responsibility (CBSR), presented the Canadian Retail Industry & Corporate Social Responsibility Report, which encapsulated CSR best practices. The report included results of a survey that lays a foundation for future CSR efforts. |
Among its findings, the report examined current Canadian CSR practices. It encouraged retailers at the executive level to continue to integrate CSR initiatives into their everyday operations, as using CSR only as a public relations tool will serve to alienate customers and employees.
Consumers are actively demanding socially responsible business practices, whether it's installing energy-efficient lighting, offering environmentally preferable products or assisting local and national charities. The Internet makes it easier for customers to research factory conditions and to demand ethically sourced merchandise. Employees are also choosing to work for companies that are environmentally friendly and treat people throughout the supply chain in an ethical way. Retailers are collaborating with leaders in the CSR field to embed best practices into existing processes wherever possible. To keep the trust of all those involved, Canadian retailers have begun to communicate their plans with all stakeholders (customers, employees, suppliers) and report back about their successes.
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